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SM Energy CoFRA:SJL 73 Pretax Margin % is 64.42% as of Jun. 2026, which is 356% above its 10-year median of 14.12. GuruFocus rates FRA:SJL with a GF Score™ of 73/100 and a GF Value™ of €42.69 (Modestly Undervalued). The stock has 6 warning signs investors should review. Among 927 Oil & Gas companies, SM Energy Co ranks better than 81.34% on this metric.
Pre-Tax margin is calculated as Pre-Tax Income divided by its Revenue. SM Energy Co's Pre-Tax Income for the
three
months ended in Jun. 2026 was €1,206 Mil. SM Energy Co's Revenue for the
three
months ended in Jun. 2026 was €1,871 Mil. Therefore, SM Energy Co's pretax margin for the quarter that ended in Jun. 2026 was 64.42%.
The historical rank and industry rank for SM Energy Co's Pretax Margin % or its related term are showing as below:
FRA:SJL'
s Pretax Margin % Range Over the Past 10 Years
Min: -101.82 Med: 14.12 Max: 41.72
Current: 25.74
FRA:SJL's Pretax Margin % is ranked better than 81.34% of 927
companies
in the Oil & Gas industry
Industry Median: 6.18
vs FRA:SJL: 25.74
SM Energy Co (FRA:SJL) Pretax Margin % Explanation
The pretax margin, as know as pretax profit margin, is widely used to measure the operating efficiency of a company before deducting taxes.
The pretax margin is sometimes preferred over the net margin as tax expenditures can make profitability comparisons between companies misleading.
It is a useful tool to compare companies operating in the same sector and less effective when comparing companies from other sectors as each industry generally has different operating expenses and sales patterns.
The long term trend of the pretax margin is a good indicator of the competitiveness and health of the business.
SM Energy Co Pretax Margin % Related Terms
SM Energy Co Pretax Margin % Historical Data
* Premium members only.
The historical data trend for SM Energy Co's Pretax Margin % can be seen below:
* For Operating Data section: All numbers are indicated by the unit behind each term and all currency related amount are in USD. * For other sections: All numbers are in millions except for per share data, ratio, and percentage. All currency related amount are indicated in the company's associated stock exchange currency.
FRA:SJL vs CHRD, RRC, MTDR: Pretax Margin % Comparison
For the Oil & Gas E&P subindustry, SM Energy Co's Pretax Margin %, along with its competitors' market caps and Pretax Margin % data, can be viewed below:
* Competitive companies are chosen from companies within the same industry, with headquarter located in same country, with closest market capitalization; x-axis shows the market cap, and y-axis shows the term value; the bigger the dot, the larger the market cap. Note that "N/A" values will not show up in the chart.
SM Energy Co Pretax Margin % vs Oil & Gas Industry
For the Oil & Gas industry and Energy sector, SM Energy Co's Pretax Margin % distribution charts can be found below:
* The bar in red indicates where SM Energy Co's Pretax Margin % falls into.
* For Operating Data section: All numbers are indicated by the unit behind each term and all currency related amount are in USD. * For other sections: All numbers are in millions except for per share data, ratio, and percentage. All currency related amount are indicated in the company's associated stock exchange currency.
SM Energy Co (FRA:SJL) has a Pretax Margin % of 64.42% as of Jun. 2026. Pre-Tax margin is the ratio of total pre-tax income to net sales. View historical data on SM Energy Co and its competitors. This is 356% above median its historical median of 14.12. According to the industry distribution chart, SM Energy Co ranks #173 out of 927 companies in the Oil & Gas industry, placing it in the top 18.7%.
Is SM Energy Co's Pretax Margin % too high?
SM Energy Co's current Pretax Margin % of 64.42% is 356% above median its 10-year median of 14.12. The Oil & Gas industry median Pretax Margin % is 6.18. SM Energy Co's value of 64.42% is 942.4% above this industry median. Based on the distribution chart, SM Energy Co ranks #173 out of 927 companies in the Oil & Gas industry, which is in the top quartile — a strong position relative to peers. Overall, SM Energy Co has a GF Score™ of 73/100 and is considered Modestly Undervalued, reflecting its overall financial health beyond just this single metric.
How does SM Energy Co's Pretax Margin % compare to CHRD and RRC?
According to the Oil & Gas industry distribution chart, SM Energy Co ranks #173 out of 927 companies for Pretax Margin %. This places SM Energy Co in the top 19% of its industry — outperforming the majority of peers. The industry median Pretax Margin % is 6.18. SM Energy Co's value of 64.42% is 942.4% above this benchmark. While the company's 10-year median is 14.12 vs. the industry median of 6.18, SM Energy Co has consistently been above the industry average. See the competitive comparison table and distribution chart on this page for a detailed peer-by-peer breakdown.
What is a good Pretax Margin % for an Oil & Gas company?
The median Pretax Margin % among Oil & Gas companies is 6.18, based on 927 companies in the industry. Companies in the top quartile (top 25%) have a Pretax Margin % significantly above this median, while those in the bottom quartile fall well below. However, Pretax Margin % should not be evaluated in isolation — investors should consider it alongside profitability, growth, and financial strength metrics. SM Energy Co's current Pretax Margin % of 64.42% is 942.4% above the industry median. Use the industry distribution chart on this page to see where any company falls relative to its peers.
What does a high Pretax Margin % mean?
A high Pretax Margin % can signal that a stock is expensive relative to its fundamentals. Pre-Tax margin is the ratio of total pre-tax income to net sales. View historical data on SM Energy Co and its competitors. For the Oil & Gas industry, the median Pretax Margin % is 6.18 — values significantly above this may indicate overvaluation, while values below may suggest a bargain or underlying issues. SM Energy Co's current Pretax Margin % is 64.42%, which is 356% above median its own 10-year median of 14.12. However, context matters — high-growth companies often justify higher valuations. Always evaluate alongside other metrics like GF Score™ and GF Value™.
Is SM Energy Co stock overvalued right now?
Based on GuruFocus' analysis, SM Energy Co (FRA:SJL) is currently considered Modestly Undervalued. The stock's GF Value™ is €42.69, compared to a current price of €30.40 — trading 28.8% below its estimated fair value. The current Pretax Margin % is 64.42%, which is 356% above median its 10-year median of 14.12 and 942.4% above the Oil & Gas industry median of 6.18. SM Energy Co's overall GF Score™ is 73/100 with 6 warning signs to review. Investors should evaluate multiple metrics — including profitability, growth, and financial strength — before making a decision.
How is Pretax Margin % calculated?
Pretax Margin % is calculated from a company's financial statements. For SM Energy Co (FRA:SJL), the current Pretax Margin % is 64.42% as of Jun. 2026. GuruFocus calculates this using data sourced from SEC filings and annual reports. See the calculation section and 30-year financial data on this page for the full breakdown.
Is SM Energy Co (FRA:SJL) Overvalued in 2026?
Based on GuruFocus' analysis, SM Energy Co stock appears to be undervalued.
The current stock price of €30.40 is trading 28.8% below its estimated GF Value™ of €42.69.
GuruFocus considers SM Energy Co to be Modestly Undervalued.
Key valuation signals for FRA:SJL:
Pretax Margin %: 64.42% (356% above median its 10-year median of 14.12)
GF Value™: €42.69 vs. price of €30.40 (28.8% below fair value)
Industry Position: 942.4% above the Oil & Gas median (#173 of 927)
No single metric tells the full story. See the FRA:SJL stock analysis page for a complete view including 30-year financials, guru trades, and insider activity.
SM Energy Co is an independent energy company engaged in the acquisition, exploration, development, and production of oil, gas, and NGLs in Texas and Utah. The Company operates in the oil and gas extraction industry, focused on exploration and production activities, onshore in the United States. Its portfolio is comprised of assets in the Midland Basin of West Texas, the Maverick Basin of South Texas, and the Uinta Basin of northeastern Utah.
73GF Score
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